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What Incentives Do Seller’s Need to Offer to Sell Their Home?

By
Real Estate Agent with @Home Realty Lakeshore

The market for the last couple of years has been a buyers market. Sellers have been doing a number of things to make their home stand out. This includes staging, cleaning, updating and having price reductions. Buyers are now resorting to other means to sell their home, and some of these you may have never heard about...

Find the rest of the article here http://lukebouman.com/viewNews.cfm?newsID=196.

Jason Romrell
Business Attorney and Success Advisor - Los Angeles, CA

Here's what I say:  http://cheaphousepayments.com/?ACT

Creativity which happens to be LEGAL and doesn't involve double contracts, fraud or other scams!  I'm happy to answer questions about it too...live on the phone.  Let me know what you think.

Oct 31, 2007 12:15 PM
Luke Bouman
@Home Realty Lakeshore - Holland, MI
Holland, Michigan Realtor

I also agree with the LEGAL part. However, I dont see how your service is that benefitial.  You will put the listing on your website and you MAY do other things.  That seems somewhat expensive for just that.  Does your website get any traffic? 

Oct 31, 2007 12:46 PM
Jason Romrell
Business Attorney and Success Advisor - Los Angeles, CA

Luke, thanks for looking at the website.  Obviously we can't force people to see where our program will help...but I'll try and explain.  Your A/R home page says "I provide a personalized marketing plan designed to make the sale of your home a delightful experience with positive results - so that your home sells faster and for the price you deserve!"  How's that going in this market?  If you're helping sellers get their desired price and closing deals with less than 30 DOM, then obviously you don't need any creativity in your marketing.

However, if you're experiencing fewer interested buyers and longer DOM, then you might need to think a little bit outside the box.

So in answer to your question, here's the simplest answer I can provide.  We give you and your seller a tool that will set that property apart from all others.  Imagine if you could market a $300,000 property for $400 per month for the first 18 months.  If a buyer had your $300,000 property to choose from or the $300,000 down the street, all other things being equal, why wouldn't that buyer want to save thousands EACH MONTH for 18 months?

If you read the details of our program, you know we're not a Realtor or lender.  We don't show properties or negotiate purchase and sale agreements.  And we don't take loan applications or qualify borrowers.  We leave those things to the professionals.  What we do is give you a tool (which is our intellectual property...and has a value in and of itself) to help your properties stand out.

Buyers who want to save on their monthly payments will still have to get a loan and be fully qualfied WITHOUT our assistance.  But can you imagine a better marketing tool (if you can, please share it with me!).  In fact, even if you dropped the price of a $300,000 home by 10%, how much of an impact will that have on the buyer's monthly payments?  And you know in the $300,000 +/- price range, buyers care most about monthly payments.

So what about the seller?  Our program is expensive, but consider the alternative.  Other so-called incentives aren't producing great results...and they still cost money.  A free car?  Upgrade appliances?  Even weekend blowout pricing?  Those all come with "fine print" and they rarely produce great results (although they do erode pricing in the overall market with lower comps).  What is the cost to a seller who can't move a property?  Ongoing monthly payments.  Taxes.  HOA dues.  And don't forget ongoing marketing expenses...which are a cost either the homeowner, builder or realtor has to bear.  In our case, where sellers aren't finding success with "traditional" marketing, we can help.  I look at it this way...either a seller can use our program and pay for it now (yes, it's costly)...or they can wait, slash prices, offer other incentives, run expensive ads in local markets, watch the DOMs pile up and then get hit will all sorts of low-ball offers because now the property looks distressed and the seller truly is feeling a bit of panick.  In some cases, paying NOW could actually be the way to save money instead of paying even more later...or even losing the property to the bank.

I'm sure you know the stress and difficulties I'm talking about...particularly with builders and developers.  It's not just an isolated propblem...it's all over the US.

So here's the bottom line.  If you're doing what you say in your intro, that is providing a plan to sell your client's property "faster" and "for the price you deserve" then we're not your tool and you should be extremely proud of the position you're in (most Reators aren't that fortunate).  But if you want to help struggling sellers, we can help then instead of watching them deterioriate, possibly lose their properties and drag the market down with them.  We've created a patent-pending program that works...and it's a great tool for those who need it.  We have so many safeguards built into the program that it's a definite win-win-win for everyone involved.

I'd love to talk details if you have more questions...I hope this brief explanation answered your question.  As for our website, yes we see traffic, but it's not just about our website, it's about Realtors using our intellectual property and our program to supplement or compliment your marketing efforts.  Hope that helps!

Nov 01, 2007 04:42 AM